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On November 18, 2019, the New Jersey Superior Court, Appellate Division, affirmed a trial court decision granting summary judgment to New Jersey Transit Corporation (“NJ Transit”) that entitles the company to up to $400 million in total property insurance coverage for substantial storm surge damage it sustained as a result of Superstorm Sandy.

NJ Transit is represented by McKool Smith Principals  Robin L. Cohen, Kenneth H. Frenchman, Marc T. Ladd, and Associate Alexander M. Sugzda.

Media coverage of the ruling can be found here:

"A state appeals court has ruled that New Jersey Transit is entitled to coverage up to its $400 million policy limit for water damage from Hurricane Sandy, rejecting insurers’ claims that a $100 million limit on flood-related coverage applies."

"New Jersey appeals court on Monday affirmed that a $100 million cap for flood losses doesn’t apply to New Jersey Transit Corp.'s claim for coverage of Superstorm Sandy damage, agreeing with a lower court that the transportation system can pursue up to $400 million from a group of excess insurers."

"NJ Transit won a major victory when an appellate court ruled that seven insurance companies have to pay to repair to trains that were damaged by flooding from Hurricane Sandy in October 2012. The Monday ruling involved what became an embarrassing incident for NJ Transit, when it was revealed that 343 locomotives and rail cars weren’t moved from the agency’s Meadowlands Maintenance Complex in Kearny before Sandy hit. NJ Transit officials defended the move, saying the facility hadn’t flooded in the past."

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